SHORT TERM: quiet day with tight trading range, DOW -34
Overnight the Asian markets were all higher. Europe opened higher but closed -0.4%. US index futures were lower overnight, and at 8:30 Personal income was reported higher +1.4% v +0.4%, as well as Consumer spending +0.3% v 0.0%. At the open the market traded down to SPX 915, and then rose to 920 in the opening minutes before turning lower again. At 10:00 the UoM reported Consumer sentiment at 70.8% v 69.0%. At 11:00 the SPX held support at the OEW pivot when it hit 913. After that the market tried to rally for the rest of the day. Despite a lower USD, neither Crude nor Stocks could make much progress. At 2:30 FED chairman Bernanke gave a speech at the BoLS: http://www.federalreserve.gov/newsevents/speech/bernanke20090626a.htm. Nearing the close the SPX hit its best level of the day at 922, and then tailed off into the close. For the day the SPX/DOW were -0.30%, and the NDX/NAZ were +0.40%. Bonds were up about 6 ticks, Crude dropped 85 cents, Gold gained $1.00, and the Euro was higher. Support for the SPX remains at 912 and then 848, with resistance at 935 and then 961. Short term momentum stayed near neutral and was rising heading into the close. Nothing has changed from yesterdays update. Overhead resistance remains at 927 and then the 935 OEW pivot. The market still appears to be in Minor wave 2 of the next downtrend. Best to your weekend!
MEDIUM TERM: uptrend may have topped at SPX 956
LONG TERM: bear market